Maersk intends to offtake full volumes of green methanol from multiple facilities US-based SunGas Renewables will develop, Maersk's ninth-such green methanol deal globally.
SunGas’ first facility is expected to begin operation in 2026 and will have an annual production capacity of 390,000 tonnes; the company announced development of further facilities to support its partnership with Maersk.
The partners define green fuels as those with 65%-95% reduction in lifecycle CO2 emissions compared to fossil fuels. SunGas will use residues from forestry and wood production as feedstocks for its facilities, using sustainable sourcing methods, it said.
“Securing green marine fuels at a global scale within this decade will require rapid scale up of green methanol production capacity using a variety of technology and feedstock pathways. We are very pleased to welcome SunGas Renewables as a strategic partner in our efforts to achieve our goal of net zero greenhouse gas emissions in 2040 across our entire business, and to ensure meaningful progress is made within this decade in line with the Paris Agreement”, says Emma Mazhari, Head of Green Sourcing and Portfolio Management, A.P. Moller - Maersk.
“Our partnership with Maersk marks an important milestone for SunGas as we continue our mission to make a global impact in the energy transition. We applaud Maersk’s leadership in catalyzing decarbonization of the entire marine shipping industry and look forward to working together to accelerate growth of production capacity for green methanol marine fuels,” says Robert Rigdon, CEO of SunGas.
Maersk has 19 methanol-fuelled containerships on order and has struck methanol supply deals with SunGas, Carbon Sink, CIMC ENRIC, Debo, European Energy, Green Technology Bank, Orsted, Proman, and Wastefuel.